The worst case scenarios is that all the users of a sidechain are at risk of their BTC being stolen by miners. So the risk of theft is 'opt in' for the user of a sidechain.
Drivechain allows miners to collect significantly more revenues (or more).
In return, they are encouraged to (but never required to):
…activate/deactivate sidechains, in order to maximize BTC’s price & maximize total txn fees.
…investigate the status of a disputed withdrawal (of which there can only be one per 3 months).
This is precisely what Satoshi intended for miners. Merged mining was invented by Satoshi, and has been in continuous use ever since e.g. Namecoin and Rootstock.
The tradeoff is that Drivechain requires a soft fork. It is tiny change to Bitcoin Core and only affects those who 'opt in' into BIP300/BIP301.
The benefits are potentially limitless as mainchain/L1 bitcoin remains secure and decentralised where sidechains/L2 bitcoin can have any functionality the user wishes while providing revenue to miners via sidechain/L2 transaction fees.
#Drivechain is very bad if:
* You want miners to be poor
* You want #Bitcoin to be niche
* You want a Bitcoin Career, but you have no skills other than tweeting or karen-ing or concern trolling
* You sell a "get rich quick" Bitcoin book/conference/dinner/podcast, and must eternally reassure your simpleton audience that everything is fine and new complex ideas from other chains are bad and all you need are the Simple Points from you and your book that you already finished, published and printed it already without mentioning drivechain, oops
* You already bet your reputation on a different L2, one that will be useless once DC fixes Bitcoin
* You already financially invested in a "Bitcoin company" that will be revealed as useless once DC fixes Bitcoin
* You are a developer who invested time/attention in a different L2 that will be useless once DC fixes Bitcoin
* You have a multi-year tweet history of wrong DC comments and it would now be disastrous for your reputation if other people wised up.. you must delay that day for as long as possible.
Requires a soft fork. That is not necessarily a bad thing. Segwit soft fork was required for the Lightning Network.
But what practical benefits does Drivechain bring to the real world?
✅ Enabling instant, cost-effective payment channels
✅ Facilitating privacy-centric transactions
✅ Empowering smart contracts
✅ Tokenizing assets and securities
#Bitcoin sidechains are opening doors to a world of possibilities. 🌐
Make Bitcoin Perfect! 💎
Why "rush" #Drivechain?
Because:
* it is 10,000x easier to prepare for a problem in advance, than it is to react to a problem in an emergency
* always better to have something good today, vs the same good thing tomorrow -- basic economics / time discounting
* however slow we go, we could always go slower than that ; so someone will always complain even if we go the objectively perfect speed
And most of all:
* it isn't rushing! the idea is from 2015, and has years of test software which can be downloaded at Drivechain.info
Image brought to you by Sergio Lerner's blog post from 2020:
#Drivechain is the Bridge to Endless Possibilities!!!
#bitcoin
Thank you @mutatrum for getting more eyes on L2L Nostr page and raising awareness of Drivechain (BIP 300 + BIP 301). 🤝
Checkout Drivechain.xyz, Drivechain.info and Layertwolabs.com for more info. 👍🏻
nostr:note1zs3mgj9l9kx4at4pfnluegapapaxfm6rvlgjpm330dhxxvay4qlqnutp55Thank you nostr:npub1lrnvvs6z78s9yjqxxr38uyqkmn34lsaxznnqgd877j4z2qej3j5s09qnw5 for getting more eyes on L2L Nostr page and raising awareness of Drivechain (BIP 300 + BIP 301). 🤝
What is a #bitcoin sidechain?
A Bitcoin #sidechain is an independent blockchain that can securely transfer bitcoins internally and from/to the Bitcoin network without supporting a money token different from #BTC.
Sidechains become a testing ground for new ideas and experimentation on Sidechains/#L2s enabling more functionality for bitcoiners without any risk to mainchain/#L1.
We are waiting for Luke Jr to write the final draft pull requests to Bitcoin Core. https://github.com/bitcoin/bitcoin/pull/28311
It's a soft fork not a hard fork so "fork off" is not an option.
#Bitcoin #drivechain debate between Paul Sztorc and Peter Todd at #TABConf 2023
Are you going to hard fork? Which ticker will you use for your token?